CoinDesk
In October 2025, JPMorgan told Polymarket to find a new banking partner and ended its services later that year amid regulatory concerns, the Financial Times reported. Polymarket moved to another lender, but its identity remains undisclosed. The platform had been barred from serving U.S. users in 2022 after a $1.4 million CFTC settlement for operating an unregistered derivatives trading venue, then returned to the U.S. market in late 2025 as federal rules loosened under the Trump administration.
Why it matters
Polymarket's U.S. return did not erase the compliance risk attached to its earlier derivatives case. The episode shows that regulatory access and dependable banking are separate hurdles for prediction-market platforms. An undisclosed replacement lender also leaves a key part of Polymarket's financial infrastructure outside public view.
The formal banking link ended, but other ties remain. JPMorgan invited Polymarket CEO Shayne Coplan to address a private client conference in February 2026 and is still angling to underwrite a future IPO. That contrast points to selective engagement: banking services stopped while investor and capital-markets links remained open.
Market impact
For Polymarket, the immediate change is a new bank rather than a disclosed U.S. exit. For traditional banks, the case puts prediction-market compliance under a sharper lens, especially after a CFTC settlement. The $1.4 million penalty and the platform's U.S. return are now part of the institutional risk record.
The next markers are the identity of Polymarket's lender, any further regulatory action and whether JPMorgan takes part in a future IPO. The episode shows why prediction-market growth depends on both rule changes and durable access to financial infrastructure.
Frequently asked questions
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Why did JPMorgan end its Polymarket banking relationship?
JPMorgan told Polymarket in October 2025 to secure another banking partner amid regulatory concerns, then ended its banking services later that year.
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What led to Polymarket's 2022 U.S. restriction?
Polymarket was barred from serving U.S. users in 2022 after reaching a $1.4 million CFTC settlement over its operation of an unregistered derivatives trading venue.
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How did Polymarket return to the U.S. market?
Polymarket returned in late 2025 after federal rules loosened under the Trump administration.
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Who is Polymarket's replacement banking partner?
Polymarket moved to another lender after JPMorgan ended its services, but the replacement bank's identity remains undisclosed.
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How has JPMorgan stayed connected to Polymarket?
JPMorgan invited CEO Shayne Coplan to address a private client conference in February 2026 and is still angling to underwrite a future Polymarket IPO.
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